-Common mistakes when selling…

Common mistakes when selling property:

Mistake no. 1 – Incorrect Pricing (or Basing Asking Price on Needs or Emotion Rather Than Realistic Market Value):

Every seller naturally wants to get the most money for his or her property. The most common mistake that causes sellers in the Durbanville area to get less than they hope for, however, is listing too high. Listings reach the greatest proportion of potential buyers shortly after they reach the market. If your home is not priced competitively buyers who should be looking at your house will not see it because it is priced over their heads. Or buyers will reject it in favor of better homes that are marketed for the same price. The result is increased market time, and even when the price is eventually lowered, the buyers are wary because “nobody wants to buy a house that nobody else wants”. If a property is dismissed as being overpriced early on, it can result in later price reductions. Overpriced properties tend to take an unusually long time to sell, and they end up being sold at a lower price than they likely would have had they been priced properly in the first place.

Mistake no. 2 – Choosing the Wrong Estate Agent or Choosing for the Wrong Reasons:

Selling your home could be the most important financial transaction in your lifetime. As a result, it is extremely important that you select an estate agent who knows the Durbanville market and who is a good match for you. Experienced real estate agents often cost the same as brand new agents. Chances are that the experienced agent will be able to bring you a higher price in less time and with fewer hassles. Many homeowners list with the agent who tells them the highest price. Remember, the market ultimately sets the price, not the agent. Instead, choose an agent with the best marketing, and best information, to sell your home. Competing estate agents sometimes inflate the value of a property in order to ‘buy’ your listing, intending to later drop their price, but all this actually results in a lower eventual selling price than what could have been obtained if priced correctly from the start. If one valuation is significantly higher than the others, be suspicious of how that number was reached. More important to this process is getting an idea of these estate agents’ backgrounds, expertise in the Durbanville property market, motivation, and simply their personalities – you may be working closely with this agent for many weeks, so it is important that it be someone you trust.

Mistake no. 3 – Failure to Effectively Market the Property:

Good marketing opens the door that exposes property to the marketplace. It requires distinguishing your home from hundreds of others on the market. It also means knowing how to sell benefits, as well as features to the right target audience! We employ a wide variety of marketing activities, emphasizing the ones believed to work best on your particular home and particularly for buyers in the Durbanville property market. There are two obvious marketing tools that nearly every seller insists on: open houses and classified ads. Strangely enough, these two tools are rather ineffective compared to other marketing tools in the modern day. Very few homes are sold at open houses, and in fact very few are sold because of classified ads. In fact, estate agents often use open houses solely to attract future prospects, not to sell that particular house. Does your estate agent have a strong internet presence? There are very few successful real estate professionals who don’t have successful websites, and for good reason.
Your estate agent should employ a wide variety of marketing techniques and should be committed to selling your property. Internet marketing consists of more than simply advertising a property on a few property portals. It is also necessary for the estate agent to have a strong presence of his own on the web, as well as in social media. Furthermore your estate agent should have a good working relationship with other estate agents in the Durbanville area, as they will often have buyers on their database that could buy your property, and agents who work well together are more than willing to share.

Mistake no. 4 – Failing to “Showcase” your home:

In spite of how frequently this mistake is addressed and how simple it is to avoid, its prevalence is still widespread. When attempting to sell your home to prospective buyers, do not forget to make your home look as pleasant as possible. Make necessary repairs (buyers are generally poor judges of the cost of repairs, and always build in a large margin for error when offering on a property that is in need of repair). Clean your home and keep it tidy. Make sure everything functions and looks presentable, and remove as many possessions as you can prior to showing (de-clutter). A poorly kept home, or one with too much clutter, will make it dramatically more difficult for buyers to become emotionally interested in your property.

Mistake no. 5 – Using the “Hard Sell” During Showings:

Buying a home is an emotional decision. Buyers like to “try on” a house and see if it is comfortable for them. It is difficult for them if you follow around pointing out every improvement that you made. Pointing out any unnoticed amenities and being receptive to questions is advisable, but this is not the time for negotiation and salesmanship. Good Durbanville estate agents let the buyers discover the home, pointing out the features they are sure are important to this buyer but many sales are lost by overselling. If buyers think they are paying for features that are not particularly important to them personally, they will reject the home in favour of a less expensive home without those features.

Mistake no. 6 – Failing to Take the First Offer Seriously:

Often sellers believe that the first offer received will be one of many to come. There is a tendency to not take it seriously, and to hold out for a higher price. This is especially true if the offer comes in soon after the home is placed on the market. Experienced estate agents in Durbanville know that very often the first buyer ends up being the best buyer, and many, many sellers have had to accept far less money than the initial offer later in the selling process. The home is most saleable early in the marketing period, and the amount buyers are willing to pay generally diminishes with the length of time a property has been on the market. Many sellers would give anything to recapture that prospective buyer who made the first and BEST offer. The plain fact is the first offer is more often than not the best offer. Think about it this way. A home which has just been listed can more easily be perceived as a desirable “discovery” by a serious buyer than a home that’s been on the market for weeks. The longer a property sits, the less desirable it appears. In fact, a buyer’s first question usually is, “How much?” and the second question is “How long has it been on the market?” If you get a first offer, near your asking price, it’s probably because you’ve priced your home correctly.

Mistake no. 7 – Not knowing Your Rights and Obligations:

When you sell your home, it is extremely important that you are well-informed of the details of your real estate sale agreement. Real estate contracts are legally binding documents, and they can often be complex and confusing. Not being aware of the terms in your contract could cost you thousands. Know what you are responsible for before signing any contract. An improperly written contract can allow the purchaser to void the sale, tie up your property unnecessarily, or cost you thousands of Rands. There are hundreds of problems that can crop up prior to finalisation, when you get your money. Our experience allows you to avoid problems. We fully explain the contract you are about to sign, make sure all the paperwork is correct, and follow up throughout the process.